Quadrise Plc (LON: QED), the supplier of innovative energy solutions for a cleaner planet, is delighted to announce the signature of a Collaboration and Operational Trial Agreement with MSC Shipmanagement Ltd (MSC) and Cargill NV (Cargill), paving the way for the long-awaited vessel trials on board the MSC Leandra.
Further to the Company’s announcement of 10 July 2024, and under the Project Agreement, Quadrise, MSC and Cargill have agreed their respective obligations under which the Company’s fuels, bioMSAR™ and MSAR®, will be produced at the MAC2 facility in Antwerp, Belgium using feedstocks supplied by Cargill and then sold by Cargill to MSC for the Trials.
The parties to the Project Agreement will use their reasonable endeavours to contribute towards the successful Trials and to receipt of a final Letter of No Objection from Wärtsilä following 4,000 hours of bioMSAR™ testing, with:
· Quadrise providing equipment, additives and technical expertise; and
· MSC providing the trial vessel, MSC Leandra, necessary flag state approvals for the Trials and procuring professional monitoring services for the Trials; and
· Cargill providing the necessary feedstocks, transportation of fuels and operational and logistical support.
MAC2 have already received the required operating permits for installation of Quadrise equipment and have prepared the site. Following signature of the Project Agreement, final work to enable Quadrise equipment to be delivered to the MAC2 site can now be completed, enabling the Trials to commence before end Q1 2025.
In parallel, bilateral agreements, including a toll manufacturing agreement between Cargill and Quadrise in respect of fuel manufacture, can be finalised now that the outline commercial terms have been agreed in the Project Agreement.
Upon successful conclusion of the Trials, MSC, Cargill and Quadrise will negotiate and enter into a definitive long-term Commercial Agreement.
The Project Agreement will expire on the sooner of: (1) One year following completion of the Trials; (2) Commencement of a Commercial Agreement.
Commenting on this agreement Jason Miles, CEO of Quadrise, said:
“Quadrise is delighted to have signed this pivotal agreement with MSC and Cargill, which triggers the process for the trials to get underway. We are hugely excited to be partnering with world-leading Companies to demonstrate the commercial viability and environmental benefits of our technology and the contribution it can make to decarbonisation of the shipping sector. Having already successfully demonstrated MSAR® on the trial vessel, we are highly confident of a successful trial result on bioMSAR™ and the substantial commercial opportunities that this will lead to.”